The 155-year-old Campbell Soup Company, the first to bring canned soups to the market, wants to drop the “Soup” part of its name and go by just the Campbell’s Company. Shareholders “overwhelmingly” voted to approve the name change on Tuesday at Campbell’s annual meeting, per the AP.
The request reflects Campbell’s broader strategy to expand beyond soup and into higher-growth categories, like snacks, which have shown promise. Snack sales grew 13% for the company last year, while soups grew 3%. Nearly 48% of Campbell’s net sales came from snacks in fiscal year 2023. Meanwhile, Campbell’s Goldfish brand reached annual net sales of $1 billion in March, a feat only attained by one other product from the company: its iconic red-and-white-labeled soup.
In September, Campbell CEO Mark Clouse said that the “subtle-yet-important” name change more accurately reflects “the full breadth of the company’s portfolio,” which also owns companies including Prego sauce and Goldfish crackers. Earlier this year, Campbell acquired Sovos Brands, the company behind the Rao’s sauces, Noosa’s Yoghurt, and Michael Angelo’s frozen entrees brands, for $2.7 billion.
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The company has also made other acquisitions, like a $4.87 billion deal for snack company Snyder’s-Lance in 2017.
Campbell’s Tomato Soup. Photo Credit: Richard Levine/Corbis via Getty Images
Campbell executives said on Tuesday that they see stable sales in soup, 3% to 4% annual growth in snacks, and 1% to 2% in meals and beverages.
Even though the company assumes no annual growth in soup, it continues to innovate and invest in the category. Campbell recently introduced new spicy soup flavors, including the Ghost Pepper Chicken Noodle soup, to appeal to younger shoppers. Older populations usually buy more soup, so sales in that category could rise from groups like older millennials, the company said.
Campbell’s fourth-quarter earnings for the three months ending July 18, 2024, show that total net sales were up from the previous quarter, from $2.068 billion to $2.293 billion.
“For the last five years, we have been on a transformative journey to redefine our company,” Clouse stated.
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